Written by Forrest Wall, CAE, Staff Vice President
and Industry Relations
Senate Passes Apartment Inspection Reform Legislation
Just prior to summer recess, the Michigan Senate passed legislation requested by AAM to reform parts of the Housing Law of Michigan relating to multifamily rental property inspection. On June 4, the Senate voted 33-3 (with 2 not voting) in favor of passage. Last fall, following approval of the legislation by the Senate Local Government & Elections Committee as well as input provided by local governmental interests, the bill was refined to focus on the following key components:
Resident Permission – The legislation provides for uniformity with respect to a resident’s right to provide their permission prior to local governmental entry for inspection.
Limits on Registration Fees – The bill proposes to limit a local enforcing agency’s charge for registration to be a one-time fee that covers the property as long as there is no ownership change.
Application of Law to Townships – The scope of the Housing Law relating to multifamily rental housing currently does not include most townships. The legislation updates this to include townships so they are governed in the same way as cities and villages.
Payment at Inspection Completion – The legislation mandates that inspection fees are due at the completion of the inspection. This will stop the practice of requiring extreme advance payment prior to any inspections taking place, and provide clarity for the landlord on their payment responsibility under the law.
The bill now goes to the Michigan House of Representatives for consideration, beginning with the House Local Government Committee. AAM thanks Senator David Robertson (R-26th District) and his staff for their tireless efforts to advance this important legislation.
Trespasser Liability Law Enacted
Legislation supported by AAM, in coalition with a group of real estate and business organizations, has been passed by both the Michigan House of Representatives and Michigan Senate. The legislation was prompted by an effort led by the American Law Institute, via their 2012 Restatement Third of Torts: Liability for Physical and Emotional Harm (“Restatement”), to recommend that courts across the country impose a duty on property owners to exercise reasonable care for all entrants on their land, including unwanted trespassers. If the current (or a future) Michigan Supreme Court were to adopt the Restatement it would dramatically expand trespassers’ rights to sue property owners and thus impose costly burdens on the industry to protect property from trespassers. The legislation specifies that a property owner would not be liable to a trespasser who is injured on their property, with the exception of a few narrowly defined situations.